Riordan Manufacturing Economic Factors

Essay title: Riordan Manufacturing Economic Factors

Riordan manufacturing is one of the top competitors in its market in the field of plastic injection moldings. Riordan produces products to include plastic bottles, fans of all sizes, heart valves, medical stents and custom plastic parts. Riordans customers and markets include; automotive parts manufacturers, aircraft manufacturers, beverage makers and bottlers, appliance manufacturers, healthcare and the Department of Defense. The broader the base of a company’s customers and markets, the more economic factors will affect a company’s success rate.

The plastic bottles markets are impacted by the changes in demand for the bottler’s product. The economist state that the plastic bottles used for serving beverages would only be minimally affected by the economy overall strength.

The economic factors for the automotive parts and the appliance manufactures would not only be the economic forecast but also the housing industry, the mortgage brokers and the interest rates. In the article found on the Seiders Report states the writings state the following about the overall housing market.

Home sales still appear to be trending downward from the unsustainable levels recorded in 2005 and sales cancellations still are a major issue. However, forward-looking indicators suggest that stabilization of home buyer demand is likely to occur in the near future.... # http://www.nahb.org/generic.aspx?sectionID=138&genericContentID=26009

Mortgage rates are reporting in the article titled “Mortgage Finance Market Commentary Issue # 18: Median Home Prices Deteriorate Further”, that purchase originations will decline about 9 percents from last years 1.39 trillion but with that,

“Mortgage rates and projected low mortgage rates through the rest of the year, refinance originations should drop off significantly from last year. However, as a significant share of loans with adjustable rates will face their first reset next year, we expect that a portion of these loans will be refinanced into either fixed-rate mortgages or into other adjustable-rate mortgages with an initially lower rate, providing some support for refinance activity. We expect refinance originations to decline by about 30 percent to $1.07 trillion. # http://www.mbaa.org/NewsandMedia/PressCenter/46435.htm-

The demand for heart valves, stents and healthcare services is affected by the demographic

trends and the healthcare availability. The surge of the baby boomers that is inclusive of about one fourth of the population one would assume the demand for these

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